A group of LightSquared Inc. lenders that objected to the wireless-network provider's use of cash collateral owns $1.1 billion of its secured debt and includes Capital Research & Management Co. and Appaloosa Management LP, Bloomberg News reported yesterday. The debt is part of a $1.7 billion loan to LightSquared’s "LP" unit, according to papers filed on May 18 in bankruptcy court. Bankruptcy Judge Shelley Chapman at a May 16 hearing asked the lender group, represented by law firm White & Case LLP, to disclose its members and holdings. LightSquared, based in Reston, Va., filed for bankruptcy on May 14, saying that it will seek a resolution with U.S. regulators who thwarted the company’s plan to deliver high-speed wireless to as many as 260 million people over concerns that it interferes with GPS networks. Capital Research owns $331.2 million in LightSquared debt and Appaloosa owns $257.3 million in debt, according to court papers.
